Abstract
The purpose of this study was to examine the effect of service failure severity and consumer anger towards consumer forgiveness and empirically examine the relationship of the effective recovery strategies, consumer forgiveness, and their outcome. Total data was collected from 250 commuters of organized bus services. The survey technique was used for data collection from the commuters of organized bus services. This study was analyzed the data with the help of the data statistical package for social science (SPSS) AMOS version 21 will be used for analyzing the data. The findings reveal that service failure severity and consumer anger have significantly negative related to consumer forgiveness and apology as effective recovery strategy was led more to consumer forgiveness. This research only focuses on one company as one of the limitations of this research that may influence the results presented in this study. The current study is limited to empirically test the direct relationship with consumer forgiveness. This research used non-probability sampling techniques, which cannot describe all the population in Lahore. Service failure severity reduces the willingness of forgiveness and service providers should check all factors that lead to the severity of services. Most importantly, the current study demonstrated that an effective recovery strategy requires the right recovery strategy which leads to consumer forgiveness.
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